Effects of using a low slippage percentage

When performing a Swap or CrossPay in Zodl, you'll see a slippage tolerance setting with a default value of 2%. This setting defines the maximum price movement you're willing to accept between the time your swap is quoted and when it fulfills.

Lowering this value may seem like a way to get a better price, but it can have the opposite effect: your swap may take significantly longer, or it may fail to complete altogether and be refunded.

Why slippage matters

Slippage acts as a ceiling, not a target. You'll still receive the best available price on NEAR Intents at the time of fulfillment – the percentage simply sets the maximum deviation allowed before the swap is rejected to protect you from overpaying.

If market depth isn't sufficient to meet a very tight slippage (for example, 0.25%), one of two things will happen:

  • The swap will wait for better market conditions, taking longer to complete
  • The swap will fail and be refunded to your provided refund address

Our recommendation

We recommend keeping slippage at the default of at least 2% to ensure the greatest chance of completion. This is especially important for:

  • Larger swap amounts, where market depth is more likely to be a factor
  • Less liquid tokens, where tight slippage is harder to meet
  • Volatile market conditions

You're not sacrificing anything by leaving slippage at 2% – you'll still get the best available price, and your swap is far more likely to complete in a timely manner.

If your swap was refunded or is taking longer than expected, see our articles on checking your swap's status and obtaining a refund.

Did this answer your question? Thanks for the feedback There was a problem submitting your feedback. Please try again later.

Related Articles